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January 10, 2020 01:38 PM

Auto supplier IAC to shutter facility in Tennessee

Audrey LaForest
Plastics News Staff
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    International Automotive Components Group SA is permanently closing its manufacturing facility in Dayton, Tenn., effective Feb. 28.

    The plant closure will affect 93 workers, according to a notice filed with the state Jan. 8 as part of the Worker Adjustment and Retraining Act.

    In December 2019, the company said it was permanently laying off 44 workers at the Dayton plant.

    Those layoffs are set for Feb. 5, according to the WARN notice. In 2017, according to another WARN notice, 160 workers were permanently laid off at the site, where the company operates as IAC Dayton LLC.

    "We deeply regret having to announce the closure of the IAC Dayton plant," the company said in an emailed statement to Plastics News. "The decision to cease operations in the IAC Dayton plant is part of the global strategy to secure IAC's business going forward. This was a difficult decision, but given the extremely competitive nature of the automotive business, this action was necessary."

    IAC said management is working closely with the labor union and employees whose jobs are impacted by the plant closure.

    "Unfortunately, this decision affects a team for which we have a great appreciation for high performances during these years," the company said. "That is why our primary focus is to take all the necessary measures to mitigate as much as possible the impact on our employees throughout this difficult process."

    IAC Group is based in Luxembourg and has North American headquarters in Southfield, Mich. The automotive supplier makes interior door panels, instrument panels, headliners and consoles, among other components. It is the largest injection molder in North America with nearly $1.6 billion in injection molding sales for the region, according to PN's most recent ranking.

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